TL;DR
- Liquidium Instant Loans let you borrow USDT and USDC against your Bitcoin without connecting a wallet to the app, with more assets being added soon.
- You choose how much BTC to supply, choose the exact amount of USDT or USDC you want to borrow, enter where you want to receive your funds, and generate a loan. Liquidium gives you a unique loan receipt with the addresses you need to fund, repay, top up, and track the loan later.
- This is built for users who want a cleaner way to borrow against Bitcoin without using a hot wallet, connecting a browser wallet.
- If you want the broader background first, read our guide on how to borrow against Bitcoin. If you want to understand Liquidium’s security work, you can also read about our Trail of Bits security review.
What are Instant Loans?
Instant Loans are a new way to open Bitcoin-backed loans on Liquidium.
Instead of connecting a wallet and manually signing through the borrowing flow, you can create a loan from the app by entering the key loan details up front:
- How much BTC you want to supply
- The exact amount of USDT or USDC you want to borrow
- The Bitcoin refund address for returned collateral
- The destination address where borrowed funds should be sent
Once the loan is generated, Liquidium gives you a unique loan ID and receipt. The receipt includes your supply address, repay address, refund destination, borrow destination, LTV details, liquidation LTV, slippage settings, and deposit window.
You can save this receipt and use it to manage the loan later.
Why borrow without connecting a wallet?
Many Bitcoin holders do not keep their BTC in a browser wallet. Some use hardware wallets. Some use air-gapped signing devices. Some simply do not want to connect a hot wallet to a website.
That caution is reasonable.
A browser wallet can be convenient, but it also introduces friction and risk. You may need to connect an account, approve a message, or sign a transaction that is not always easy to read. For security-conscious Bitcoin users, that experience can feel wrong.
Instant Loans are designed for people who want to use BTC as collateral without changing how they custody their Bitcoin.
You do not need to connect a wallet to open the loan. You only need to send BTC to the loan’s supply address during the deposit window.
How Instant Loans work
The flow is simple.
1. Choose your loan terms
Start by choosing how much BTC you want to supply and the exact amount of stables you want to borrow.
LTV means loan-to-value ratio. It compares the amount you borrow to the value of the collateral you supply. A lower resulting LTV gives the loan more room before liquidation. A higher resulting LTV lets you borrow more, but leaves less buffer if BTC falls.
For a deeper explanation, see our guide to Bitcoin-backed loans.
2. Add your addresses
Next, enter two important addresses.
The refund address is where BTC is returned if the deposit fails or when the loan is repaid and collateral is unlocked.
The borrow destination is where your borrowed funds are sent after the BTC deposit is received and the loan opens.
You are responsible for checking that these addresses are correct before generating the loan.
3. Generate the loan
After confirming the details, generate the loan.
Liquidium creates a unique loan ID and a receipt. This receipt is important. Save it somewhere secure.
Your receipt includes:
- Loan ID
- BTC supply address
- USDT/USDC repay address
- Refund destination
- Borrow destination
- Loan LTV
- Liquidation LTV
- LTV slippage
- Deposit window
This is what lets you track the loan, add more collateral, repay, or manage the position later.
4. Send BTC to open the loan
To open the loan, send BTC to the supply address shown on your receipt.
Once the BTC deposit is received, the loan can open and the exact amount of borrowed USDT/USDC is sent to your destination address.
If the loan cannot open within the accepted terms, the BTC is returned to your refund address.
What happens if the BTC price moves?
Instant Loans are created with an exact borrow amount, not an approximate final borrow amount.
That matters because Bitcoin price can move between the time you generate the loan and the time your BTC deposit is received.
If you choose to borrow 1,000 USDT, you receive exactly 1,000 USDT if the loan opens. Under “Advanced Settings” you can edit two more things that will affect your loan amount: Max LTV Buffer %, and Loan Delivery Window.
Max LTV Buffer defines how much LTV movement you are willing to accept by percentage. For example, if you choose to borrow 1,000 USDT and set 5% LTV slippage, the loan can still open if the resulting LTV increases by up to 5% before the BTC deposit is received.
The loan delivery window is after your initial deposit confirms. Liquidium will try to deliver your desired borrow at the locked-in LTV. If we can't within this set time window, your collateral is refunded. In addition, if the LTV moves beyond your accepted slippage range within the allotted time (default 60 minutes) the loan does not open and your BTC is returned.
This protects users from opening a loan under terms that are too different from what they expected, while keeping the borrowed amount exact.
Managing an Instant Loan
After the loan is open, you can manage it using the loan ID and receipt.
You can send more BTC to the supply address to add collateral and improve the health of the loan.
You can send USDT/USDC to the repay address to repay the loan.
You can supply or repay partial amounts to keep the loan healthier, but the loan must be repaid in full before the BTC collateral is unlocked and returned.
This is the same basic logic behind overcollateralized crypto lending: your collateral stays locked while the loan is active, and it is released after full repayment.
Built for security-conscious Bitcoin users
Instant Loans are for anyone who wants a Bitcoin-backed loan without adding browser-wallet risk to the process.
That includes users who:
- Hold BTC in cold storage
- Avoid hot wallets
- Prefer not to connect wallets to websites
- Do not want to sign unclear messages
- Want a receipt-based way to manage a loan
- Want to borrow stablecoins while keeping BTC as collateral
Liquidium’s broader cross-chain lending system is built around native assets and security-focused design. You can learn more about the protocol’s reviewed infrastructure in our Trail of Bits security review announcement.
Instant Loans extend that same direction into the user experience: fewer wallet interactions, clearer loan details, and a receipt you can keep.
Why borrow stables against Bitcoin?
Borrowing against BTC lets you access liquidity without selling your Bitcoin.
Instead of selling BTC to get stablecoins, you can use BTC as collateral and borrow USDT or USDC. This can be useful if you want liquidity while keeping exposure to Bitcoin.
As with any collateralized loan, there are risks. If the value of BTC falls and your loan reaches the liquidation threshold, your collateral may be liquidated. You should choose a borrow amount that gives the loan enough room for market movement.
If you are new to stablecoin borrowing or lending, you can also read our guides to USDT lending and USDC lending.
Instant Loans vs. Account Based Loans
Connected wallet flows are useful when you want to manage everything directly from a browser wallet.
Instant Loans are different.
They are designed for users who want to create and manage a Bitcoin-backed loan through addresses and a receipt instead of a connected wallet session.
That means the loan flow is easier for people who custody BTC outside browser wallets. You can generate the loan, send BTC from your preferred wallet setup, receive USDT or USDC at your chosen destination, and keep the receipt for repayment or future management.
This post focuses on borrowing stablecoins against BTC, but the Instant Loans flow can support other asset pairs as well.
Start with the details, then fund the loan
Instant Loans make the borrowing flow more direct.
You set the loan terms first. You review the addresses. You generate the receipt. Then you send BTC when you are ready.
There is no need to connect a wallet just to begin.
For Bitcoin holders who care about custody, signing safety, and minimizing hot-wallet exposure, this gives Liquidium a simpler way to borrow against BTC while keeping the process clear.
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Generate an Instant Loan on Liquidium, save your receipt, and borrow USDT or USDC against your Bitcoin without connecting a wallet. Start now: https://app.liquidium.fi/
FAQs
Can I borrow against my Bitcoin without connecting a wallet?
Yes. With Liquidium Instant Loans, you can borrow USDT and USDC against BTC without connecting a browser wallet to the app. You generate the loan, send BTC to the unique supply address, and receive the exact amount of USDT/USDC at the destination address you entered if the loan opens.
What is an Instant Loan?
An Instant Loan is a Bitcoin-backed loan that can be opened using addresses instead of a connected wallet session. You choose the amount of USDT or USDC you want to borrow, enter your refund and borrow destination addresses, generate the loan, and save your receipt to manage it later.
How does a Liquidium Instant Loan work?
To open an Instant Loan, you create the loan terms first and receive a unique supply address. Once you send BTC to that address during the deposit window, the loan can open and your borrowed funds are sent to your chosen destination address.
What is the Instant Loan receipt for?
The receipt contains your loan ID, supply address, repay address, refund destination, borrow destination, LTV details, LTV slippage, and deposit window. Save it so you can track the loan, add more collateral, repay USDT/USDC, or manage the position later.
What happens if my BTC deposit does not open the loan?
If the loan cannot open under the accepted terms, your BTC is returned to the refund address you entered. This can happen if BTC price movement causes the loan’s LTV to move outside the slippage range you accepted.
Can I add collateral or repay an Instant Loan later?
Yes. You can send more BTC to the supply address to add collateral, or send USDT/USDC to the repay address to repay the loan. However, the loan must be repaid in full before your BTC collateral is unlocked and returned.
Are Instant Loans safer than connecting a wallet?
Instant Loans reduce wallet-connection risk because you do not need to connect a hot wallet or sign browser-wallet messages to open the loan. As with any DeFi loan, you should still review the loan terms, confirm your addresses, understand liquidation risk, and use the product carefully. You can also read more about Liquidium’s security work in the Trail of Bits security review announcement.
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